Core Viewpoint - The company aims to accelerate the upgrade of its core business over the next two years, focusing on optimizing commercial site selection and enhancing service quality to maintain a competitive edge in the medical beauty industry [2][4]. Financial Performance - In 2025, the company achieved a revenue of RMB 3 billion, representing a year-on-year growth of 16.7%. The net profit reached RMB 340 million, a significant increase of 34.8%, with adjusted net profit at RMB 381 million, up 41.0%, and an adjusted net profit margin of 12.7% [2]. - The operating cash flow for 2025 was RMB 1 billion, showing a substantial growth of 25.4%. As of December 31, 2025, the company's cash and cash-equivalent assets totaled RMB 2.59 billion, reflecting a net increase of 41.6% [2]. Dividend Policy - The board proposed to maintain a high dividend payout ratio, distributing 50% of the 2025 net profit attributable to shareholders, amounting to HKD 0.72 per share, which is a 38.5% increase year-on-year [2]. Industry Trends - The medical beauty industry is entering an "era of product selection," with a significant increase in compliant products and improved supply shortages. Consumers are now seeking unique, high-quality services rather than standardized solutions [4]. - The company reported a revenue of RMB 1.017 billion from its medical beauty segment in 2025, a growth of 9.6%, with a gross margin increase of 3.6 percentage points to 55.9% [4]. Strategic Initiatives - The company is focusing on a differentiated positioning strategy to expand its leading advantage, emphasizing technology and service quality rather than engaging in price wars [4]. - The company has deepened collaboration with 150 expert doctors to integrate clinical experience with cutting-edge aesthetic systems, resulting in over 150 patent applications to establish technical barriers in professional medical beauty services [5]. Integration and Business Upgrade - Following the acquisition of 100% equity in a competitor, the company initiated a systematic integration process, prioritizing platform integration, followed by consumer medical support, and finally refining core business operations [7][8]. - The company plans to optimize the commercial site selection for approximately 20 stores by entering higher-quality business districts to enhance brand influence in cities [8]. - An upgrade of the experience system is underway, aiming to create a new lifestyle and sanctuary for high-end clients, with the first phase of upgrades involving over 50 categories and scenarios set to launch in late April [8].